Recovery at risk if Parliament does not sit say Demo’s and CIP

The refusal of Prime Minister Hon Jim Marurai to call Parliament to appropriate new aid money for the rebuilding of Aitutaki and Penrhyn and pass a supplementary budget to ensure supply for the country is both irrational and self-serving.
That’s the warning being issued by the Democratic and Cook Islands Parties in a joint statement issued today.
A total of $5.5 million has been confirmed in NZAID, including tens of thousands in grants from international agencies -- but the leaders say this money can’t be spent on the recovery and rebuilding of the cyclone devastated islands unless appropriated by Parliament.
Democratic and Opposition leaders, Sir Terepai Maoate and MP Tom Marsters believe the rules under which government must follow to use any new aid money are clear under clause 32 of the MFEM Act and Article 70 of the Constitution.
“There are now huge, widespread concerns that our people in Aitutaki and Penrhyn, and now we understand Manihiki as well, won’t get the financial assistance that’s urgently needed,” says Marsters.
He says both parties also share a deep concern for the continuation of monetary supply that’s needed to keep the country’s essential services operating viably if Parliament doesn’t sit to appropriate the required funds.
According to Marsters the idea being promoted by government to set up a special Aitutaki account to deposit and access aid money such as that confirmed by New Zealand, is a “harebrained scheme”. He says the Leadership of this minority government is displaying “ostrich behaviour” by refusing to accept the legal requirement to call Parliament.
“There is obviously new aid money available to the country now, and as such, needs to be appropriated by Parliament so that we are able to use it.”
Both leaders believe that the cuts to Education and Health budgets now being advocated as necessary by the government will see money removed from these important areas to pay outstanding debts incurred by government in the still incomplete Aitutaki recovery process.
As a small example, Aitutaki MP Teina Bishop confirmed his company is owed $11,000 for fuel and timber worth $15,000 supplied to government for the first stage of the islands’ recovery.
“I’ve been told that there just isn’t any money to pay these outstanding debts that are now well over a month old…so in effect, we the business people who have supplied materials to government have funded the Aitutaki clean-up,” says Bishop.
“Business people in Aitutaki are struggling to get back on top, we have our businesses to run and taxes to pay, but government can’t honour it’s kaiou (debt) with local businesses because there’s no money available.”
Bishop says the 19 MP’s outside of government “have been mandated by the Constitution, the people gave us the mandate and the law is quite clear as to what we should do and the prime minister is denying us the right to do the right thing for the people of this country and the right thing is going to Parliament.”
Bishop says Marurai’s vetoing the resumption of Parliament completely ignores the people’s mandate, denies the victims of cyclone devastation the right to be assisted and the needs of the country.
“Our country, our people and their needs are far more important than someone wanting to retain prime ministership, Jim (Marurai) is being completely self-interested because he doesn’t want to face a vote of no confidence.”
Sir Terepai Maoate believes government doesn’t understand the urgency being felt by the people of Aitutaki to get their lives back to normal. “It’s very easy for the prime minister from the comfort of his office and home to delay Parliament until September because he doesn’t want to lose his job, but people in Aitutaki are struggling every day to get by. The prime minister has a duty to our people and he is failing our people.”
The Democratic and Opposition leaders say their parties would support the passing of a supplementary budget and appropriation of money when Parliament sits.
Both are reiterating a call to the Queen’s Representative Sir Frederick Goodwin to exercise his discretion to ensure the needs of the country and people are placed foremost.
The Cook Islands Parliament has not sat since September last year.
Article 70 of the Cook Islands Constitution states:
(1) Except as provided in subclause (3) of this Article, or by any specific appropriation contained in any enactment, all expenditure in any financial year from the Cook Islands Government Account or from any other public fund or account, shall be charged to votes specified in an Appropriation Act and in accordance with the statement of proposed expenditure for that financial year as approved by (Parliament).
MFEM Act Clause 32 states:
Appropriation required – (1) No expense or liability shall be incurred by the Crown unless the expenditure in relation to such expense or liability is in accordance with Article 70 of the Constitution and is capable of being charged to a category specified in subsection (2) of this section.
(2) A Separate appropriation shall be made within the estimates for each of the following categories –
(a) outputs;
(b) categories of benefits or other unrequited expenses;
(c) categories of borrowing expenses and repayment of debts;
(d) categories of other non-operating expenses;
(e) capital acquisitions and capital contributions

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